LBO Home IndoChina | About Us | To Advertise | Contact Us rss LBO Mobil rss rss rss rss rss
Sanga, only Sri Lankan player in the 2015 ICC world cup team | Australia won 2015 Cricket World Cup with a 7 wicket victory over New Zealand | Facebook to focus on three themes in 2015: Zuckerberg | Sri Lanka’s President Sirisena calls for a new thinking on Asian growth strategy | Sri Lanka to ease entry barriers for FDI: Ravi Karunanayake | Sri Lanka new rulers to get Chinese support | Sri Lanka sells $100mn of 5 year development bonds; rejects all bids at 2 and 3 years | Fitch affirms HSBC Sri Lanka branch at 'AAA(lka)'; outlook stable | Sri Lanka Freedom Party yet to decide a disciplinary action who participated pro-MR rally | Sri Lanka's President appoints a new law commission | Sri Lanka’s NDB-DFCC merger awaiting new regime’s go ahead | Ultra small computer by Intel; first look in Sri Lanka | Sri Lanka's micro-finance sector to access CRIB through a new regulation | Sri Lanka to get Chinese funded hospital for kidney patients; China to support SL on alleged human rights issues | Sri Lanka Siyapatha Finance PLC rated 'A(lka)' with a stable outlook : Rating agency | Sri Lanka’s AMW Capital Leasing and Finance upgraded to 'BBB+(lka)' : Fitch Ratings                                          
Tue, 31 March 2015 01:13:50
New electricity fixed rates for domestic and bulk users.
15 Jun, 2005 00:00:00
The Ceylon Electricity Board (CEB) is trying to increase its fixed electricity charges by August.
The Ceylon Electricity Board (CEB) is trying to increase its fixed electricity charges by August.
"It is imperative that we increase prices or we will incur large losses. There is no alternative but to pass this on to consumers," CEB General Manager, Ranjith Fonseka said.

Accordingly the CEBs fixed charge - that is added on to the unit charges - will go up, for both domestic as well as bulk consumers of electricity.

The fixed charge for bulk consumers will increase from the current Rs 800 to Rs 3,000.

The fixed charge for domestic consumers is currently Rs 30 for all domestic users - regardless of the amount of electricity consumed.

The new fixed rates on the other hand, will be higher for larger domestic consumers.

New Fixed Charges on Domestic Electricity Consumers
No of Units

Fixed Charge Rs.

0 - 30 60
31 60 90
61 90 120
91 180 180
Over 180 240

Source : Ceylon Electricity Board

The CEB hopes to gazette the new fixed rates within a few days and repeal a gazette notice issued last year for a 3.6% percent tariff increase.

The CEB is hoping that the Court cases against its last years attempt to increase electricity tariffs, will be dropped once the previous gazette is repealed.

The new gazette will give the public at least 30 days notice of the price increase and is expected to be implemented by August.

However, CEB officials say the increase in fixed charges is a purely cosmetic solution to the public utilities increasing production costs.

The CEBs original request was for a price increase that would see a total revenue increase of at least 20 percent.

The political compromise of a fixed charge increase, gives the public utility less than half of what it wanted.

We expect that the new increase will result in an eight percent increase in revenue, said Fonseka.

The eight percent increase in revenue comes to around Rs 4 bn a yer, and will give the CEB a total annual revenue of around Rs 60 billion.

The utilities total debts on the other hand, are now over Rs 80 billion and its losses are ballooning daily - because of delays in increasing electricity charges in line with increasing production costs.

The CEB uses around four million litres of diesel per day, for thermal generation and the increase in diesel prices this month by Rs 4.00 alone, pushes up the CEBs production costs by Rs 16 million per day.

The utility makes a loss of nearly Rs 4.00 per every unit of electricity sold.

-LBO Newsdesk:

Your Comment
Your Name/Handle
Your Email (Your email will not be displayed)
Your Email
Receivers Email
Your Comment